Music is a beautiful art form but for many musicians – a very difficult profession. The artist inside you often has to struggle to become a capitalist in order to survive. Where are you in this lifelong process? Interested? Committed? Frustrated? In Doubt? – Sorry!
How are you going to survive your career in music as a successful musician and business person? Listen to me: No musician with talent, flexibility, resourcefulness and a savings plan needs to end the last years of a career in music in poverty.
First, you must in all aspects be an absolutely excellent performer regardless of your chosen area of specialization-this means you must be able to play at a level comparable to near national competition standards. No self-promotion techniques will work if they are unsupported by your abilities. You must be a self-starter and willing to practice long hours. You should have a great teacher, but you must remain self-motivated. When you win an audition you must be willing to work evenings, weekends, holidays, and be willing to travel for great lengths of time. What do you do if you never win an audition? Quit now for even considering the question! You MUST develop the ability to rebound after losing–call it your soccer ball concept–dented for the moment but bounce right back.
Second, you must be able to teach your knowledge to others in a practical, useful way. Such effort on your part preserves the art form and is still one of the best ways to make money in the music industry. Advanced degrees could help you to secure a good teaching position, but to be a truly great teacher you must care deeply for your students. You also must have both short and long-term goals for all those you teach. You must be highly organized, able to sell yourself and your teaching concepts and be willing to work long hours.
Third, regardless of the proficiencies of your primary performing and teaching areas, you must develop secondary areas of competence. Those secondary or related areas of competence could be in non-related fields such as, marketing, accounting, computer science, etc. or you could develop your performing and teaching skills to a professional level in more than one area of music— voice/piano, percussion/guitar or bass, all woodwinds, all brass, and so on. In addition, you must be knowledgeable in the areas of music history, conducting, composition, improvisation and arranging.
Fourth, developing and marketing a new or improved concept or product in the music business is just as frustrating, time consuming and expensive of a challenge as in any area of business. It requires absolute persistence and determination. At the same time, the inner development and outward expression of your creative abilities can become some of the most positive and rewarding experiences you can have as a working musician– experiences that are rewarding both financially and emotionally. So, make it a habit to expect a new idea. It may be a hunch, inspiration, intuition or even a momentary stroke of genius. When something new comes out of your mind and you are inspired, your life will be more fun. You will take on a new meaning and will discover more about the wonders of life itself!
Fifth, regardless of whether you are a performer, educator, or innovator as a musician, it is important for you to remember that you are first and foremost also a business person. You and what you produce are the products. The position you occupy is where you are when marketed against your competition. The marketplace is all the possible places you can work and sell. If you are a performer, for example, the seller is your agent, the buyer signs the check. Advertising is your “bait” for the public consumer of your service. The asking price is how much your audience is willing to pay. Your profit is what you have left after all of your expenses are deducted. Music is business! To be marketable, you need a resume, biographical information in outline and paragraph formats, references, recommendation letters, a DVD of your abilities and personality and a CD of your performances and teaching. Your portfolio needs to be of the highest professional caliber and available in multiple formats suitable for multiple career areas. And you need it all—NOW! As you can see, the business of making music is not all of the music business. After all, it’s probably easier to make a musician out of a businessman than it is to make a businessman out of a musician. If you don’t spend as much time and effort in the business aspects of the music business, as you do in making the music-you won’t make any significant money. Students and amateurs do not make substantial money. Professionals-businessmen do make large amounts of money!
You should strive to make at least $100,000 a year gross as a musician – however hard you have to work and however many jobs you must work! Understand that this gross income amount could put you in the TBD% federal tax bracket and TBD% state tax bracket as well as TBD% deducted for Social Security and TBD% deducted for Medicare– these and a wide variety of other deductions substantially reduce your net income. As a tax balance to your primary income, work at the very least “X” number of days of each year doing performances, recording sessions, clinics, private lessons, sale of inventory, and so forth, where you gross $1,000 in a 48 hour period. Put all of this extra income in a tax balance savings account.
You should strive to have at least $1,000,000 in total personal assets when you finally retire! (see end after Conclusion)
You must have multiple health insurance benefits (1 primary and 1 secondary), life insurance, disability insurance, long term care insurance, car and home insurance, personal umbrella insurance as well as instrument insurance.
You must have a balanced investment portfolio for your retirement that includes stocks, bonds, employer sponsored retirement plans, IRA’s and various cash assets.
You should strive to save a minimum of $500/month before paying all other monthly expenses—including home, car, utilities, insurance, medical services, credit card bills, contributions, and the unexpected expenses.
You should budget all expenses to equal no more than 75% of your net monthly income!
You should run a home business so you can deduct a portion of all the utilities, phone, gas, etc…and all the other business related expenses off of your income.
You should use only three credit cards. Examples:
- A Visa Card for your personal expenses
- An American Express Card for your business related purchases
- A Master Card to pay off your home business related expenses.
You pay off the American Express card each month, and if possible the business Master Card and personal Visa card monthly as well, in order to build credit while disciplining your spending.
File an aggressive tax return each year. Your greatest risk is not taking one!
In the yellow pages throughout major US cities music and musicians – come right after museums and right before mutual funds! Take a look for yourself. You must find the balance!
- Do whatever you chose to do as a musician a little better than anyone else around you and you will succeed.
- Never measure your journey toward success as a musician by watching the clock. Instead, wisely use every second of every minute of every day so that someday when you look back, you will realize that your life has been successful and twice as long.
- Finally, discover and nurture the Source of Your Being, for in so doing you will discover what lies beyond this life.
In life, everything is always changing and all things will pass.